US Treasury deems NFTs 'vulnerable to fraud and money laundering’ in the first risk assessment report
CryptoNewsTerminal Staff31 May, 2024
US Treasury deems NFTs 'vulnerable to fraud and money laundering’ in the first risk assessment report
NFTs are under the spotlight of the US Treasury, which released its first risk assessment report on the matter on August 10. The report diagnoses vulnerabilities to fraud, copyright and trademark infringement, and money laundering while highlighting the lack of proper controls to mitigate such risks on some NFT businesses and platforms. Due to inadequate cybersecurity protection, copyright, and trademark protection, combined with excessive advertising and price fluctuations, NFTs are also prone to fraud.
